Agriculture awards $6.8M for PEGA Government Platform licenses, with a 364-day term

Contract Overview

Contract Amount: $6,788,640 ($6.8M)

Contractor: Advanced Computer Concepts, Inc.

Awarding Agency: Department of Agriculture

Start Date: 2025-12-23

End Date: 2026-12-22

Contract Duration: 364 days

Daily Burn Rate: $18.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PEGA GOVERNMENT PLATFORM CORE TERM LICENSES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20250

State: District of Columbia Government Spending

Plain-Language Summary

Department of Agriculture obligated $6.8 million to ADVANCED COMPUTER CONCEPTS, INC. for work described as: PEGA GOVERNMENT PLATFORM CORE TERM LICENSES Key points: 1. The contract value of $6.8M for a one-year term suggests a significant investment in enterprise software. 2. Competition was full and open, indicating a potentially competitive bidding process for this software license. 3. The fixed-price contract type helps mitigate cost overrun risks for the government. 4. The award is for software licenses, a common IT expenditure for federal agencies. 5. The contract's duration of one year allows for flexibility and reassessment of needs. 6. The North American Industry Classification System (NAICS) code 541519 points to general computer-related services.

Value Assessment

Rating: fair

The contract value of $6.8M for a one-year term for PEGA Government Platform licenses appears to be within a reasonable range for enterprise software solutions. Benchmarking against similar large-scale government software procurements would provide a clearer picture of value for money. The fixed-price nature of the contract is a positive indicator for cost control. However, without specific details on the number of licenses or features included, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition after exclusion of sources, suggesting that multiple vendors were allowed to bid. The specific details of how many bids were received are not provided, but the 'full and open' designation implies a robust competitive environment. This approach is generally expected to yield better pricing and terms for the government by allowing a wide range of qualified offerors to participate.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it increases the likelihood of securing competitive pricing and innovative solutions, preventing potential overpayment that could arise from limited competition.

Public Impact

Federal employees within the Department of Agriculture will benefit from access to the PEGA Government Platform. The contract delivers software licenses essential for workflow automation and case management. The geographic impact is primarily within the District of Columbia, where the agency is headquartered. This contract supports the IT workforce by providing tools for digital transformation initiatives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if PEGA becomes deeply integrated into agency workflows.
Risk of underutilization if training and adoption are not prioritized.
Dependence on a single software platform could create single points of failure.

Positive Signals

Use of a full and open competition process suggests a commitment to fair market value.
Fixed-price contract type helps control costs and budget predictability.
The PEGA platform is a recognized enterprise solution, implying a level of expected functionality and support.

Sector Analysis

The market for government enterprise software platforms is substantial, with agencies increasingly adopting solutions like PEGA for process automation and case management. This contract fits within the broader IT services sector, specifically focusing on software licensing and support. Comparable spending benchmarks would involve looking at other large federal agencies' investments in similar workflow and business process management software, which often run into millions of dollars annually.

Small Business Impact

The provided data does not indicate any small business set-aside or subcontracting requirements for this contract. As a software license procurement, it is likely focused on established software vendors. Further analysis would be needed to determine if any subcontracting opportunities exist within the implementation or support phases, and if small businesses are involved in those aspects.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Agriculture's Office of the Chief Financial Officer and relevant IT governance structures. Accountability measures are embedded in the fixed-price contract terms and delivery schedules. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected.

Related Government Programs

Enterprise Resource Planning (ERP) Software
Business Process Management (BPM) Software
Government Workflow Automation Tools
Cloud-Based Software Solutions
IT Modernization Initiatives

Risk Flags

Potential for vendor lock-in
Integration complexity with existing systems
User adoption challenges
Reliance on a single software vendor

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $6.8 million to ADVANCED COMPUTER CONCEPTS, INC.. PEGA GOVERNMENT PLATFORM CORE TERM LICENSES

Who is the contractor on this award?

The obligated recipient is ADVANCED COMPUTER CONCEPTS, INC..

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).

What is the total obligated amount?

The obligated amount is $6.8 million.

What is the period of performance?

Start: 2025-12-23. End: 2026-12-22.

What is the specific functionality and scope of the PEGA Government Platform licenses being procured?

The provided data indicates the procurement is for 'PEGA GOVERNMENT PLATFORM CORE TERM LICENSES'. While the specific modules or functionalities included are not detailed, PEGA's platform is generally known for its capabilities in customer engagement, digital process automation (DPA), robotic process automation (RPA), and case management. Federal agencies often utilize PEGA to streamline complex workflows, improve citizen services, and enhance operational efficiency across various departments. The 'core term licenses' suggest a foundational level of access to the platform's primary features for the contract duration.

How does the $6.8M contract value compare to historical spending on PEGA or similar platforms by the Department of Agriculture?

To assess this, one would need to analyze historical contract data for the Department of Agriculture related to PEGA or comparable enterprise software solutions. A review of past awards for workflow automation, case management, or business process management software would be necessary. If previous awards for similar functionalities were significantly lower or higher, it would provide context for the current $6.8M award. For instance, if the agency previously spent $4M annually on a similar system, this $6.8M award might indicate an expansion of scope, increased licensing costs, or a move to a more comprehensive solution. Conversely, if prior investments were in the $8-10M range, this award could represent cost savings or a reduction in scope.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this PEGA license contract?

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for software license agreements, SLAs might cover aspects such as platform uptime, availability, response times for technical support, and potentially performance metrics related to the processing of workflows or cases. KPIs would likely be defined by the Department of Agriculture to measure the effectiveness of the PEGA platform in achieving its intended business outcomes, such as improved process cycle times, increased user adoption rates, or enhanced data accuracy. These details would normally be found within the contract's statement of work or performance requirements.

What is the track record of Advanced Computer Concepts, Inc. (ACC) in delivering PEGA-related solutions to the federal government?

Assessing the track record of Advanced Computer Concepts, Inc. (ACC) would involve reviewing their past federal contract awards, particularly those involving PEGA software. Databases like the Federal Procurement Data System (FPDS) or other contract transparency tools can be queried for ACC's performance history. Key areas to examine would include the types of services provided (e.g., licensing, implementation, support), contract values, agencies served, and any reported performance issues or successes. A history of successful, on-time, and within-budget delivery of similar PEGA solutions would indicate a lower performance risk for this current award.

Are there any known risks associated with the PEGA Government Platform itself that could impact its successful implementation or use by the Department of Agriculture?

While PEGA is a mature and widely adopted platform, potential risks associated with its implementation and use can exist. These might include the complexity of integrating PEGA with existing legacy systems, the need for specialized skills for development and administration, and the potential for scope creep during implementation phases. User adoption can also be a challenge if adequate training and change management are not provided. Furthermore, the cost of ongoing maintenance, upgrades, and potential future enhancements should be considered. Agencies often mitigate these risks through thorough planning, phased rollouts, robust training programs, and strong project management oversight.

What is the projected impact of this contract on the Department of Agriculture's IT budget and overall digital transformation goals?

This $6.8 million contract represents a significant allocation towards enterprise software licensing, specifically for the PEGA Government Platform. Its impact on the IT budget will depend on how it aligns with the agency's overall IT spending priorities and whether it replaces or augments existing systems. From a digital transformation perspective, this investment suggests a strategic move towards modernizing business processes, automating workflows, and potentially improving service delivery. The success of this transformation will hinge on effective implementation, user adoption, and the platform's ability to deliver measurable improvements in efficiency and effectiveness, contributing to the agency's broader digital modernization objectives.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7927 JONES BRANCH DR STE 600N, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $6,788,640

Exercised Options: $6,788,640

Current Obligation: $6,788,640

Actual Outlays: $6,788,640

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD60B

IDV Type: GWAC

Timeline